PLANNING PROCESS 1 Setting up of the objectives In planning function manager begins with setting up of objectives because all the policies procedures and methods are framed for achieving objectives only The clearly defined goals are communicated to all the employees 2 Developing premises Premises refer to making assumptions regarding future Premises are the base on which plans are made It is a kind of forecast made keeping in view existing plans and any past information about various policies The assumptions are made on the basis of forecasting Forecast is technique of gathering information 3 Listing the various alternatives for achieving the objectives After setting up of objectives the managers make a list of alternatives through which the organisation can achieve its objectives as there can be many ways to achieve the objective and managers must know all the ways to reach the objectives 4 Evaluation of different alternatives After making the list of various alternatives along with the assumptions supporting them the manager starts evaluating each and every alternative and notes down the positive and negative aspects of every alternative 5 Selecting an alternative The best alternative is selected but as such there is no mathematical formula to select the best alternative Sometimes instead of selecting one alternative a combination of different alternatives can also be selected The most ideal plan is most feasible profitable and with least negative consequences 6 Implementing the plan The managers prepare or draft the main and supportive plans on paper but there is no use of these plans unless and until these are put in action For implementing the plans or putting the plans into action the managers start communicating the plans to all the employees very clearly because the employees actually have to carry on the activities according to specification of plans 7 Follow up Planning is a continuous process so the manager s job does not get over simply by putting the plan into action The managers monitor the plan carefully while it is Implemented or not PLANS Plan is a document that outlines how goals are going to be met It is a specific action proposed to help the organization achieve its objectives Single Use Plans Single use plans are used only once Prepared to meet the demand of specific situation These are discarded when the situation is over Every time a new plan is prepared for new situation e g budget programme projects Standing Plans These are recurring plans used for an indefinite period Standing plans are stable in nature These plans act as guidelines for smooth functioning of the organisation e g policy procedure rules methods etc